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1.Briefly explain why accounting standards related to fair value estimates make the audit of financial instruments more complex.
Why is it necessary to obtain corroborating evidence for inquiry and observation and what is the difference between test of transactions and tests of balances?
States that due professional care requires the auditor to exercise professional skepticism. Professional skepticism can be divided into three attributes.
select a publicly traded company using the u.s. securities and exchange commission sec edgar system please note that
Supervisor informs you that you do not need to worry so much because they are not within the materiality amounts. He requests that you complete the outside audit as quickly as possible; the firm is under a tight budget with this client.
the following is an except from a conversation between two sales clerks craig rice and jill allen. craig and jill are
Describe the methodology for designing tests for the details of balances in accounts payable. How would your methodology impact the rest of the audit?
You're the Chief Financial Officer (CFO) of a firm that is being sued for damages it caused. It is the end of your fiscal year, and you are trying to determine the appropriate treatment of this matter.
Explain how the nature of a substantive test could affect the decisions about when and how much substantive testing is performed and how do these decisions relate to the overall risk assessment for the item being tested?
What each of the above actually refers to and what it means and what is your view, giving a rational explanation to your view (you may use other sources to support your view, properly referencing).
Briefly outline the requirements of the UK version of ISA 700/ 750/ 706 and discuss the factors which would influence you as the external auditor in forming an opinion on the financial statements of Home Retail Group plc for 2011.
Contrast the circumstances in which the auditor would choose not to test controls with those in which he or she would perform tests of controls.
From the information provided above, identify any reasons for not accepting the audit engagement with Simple Things Ltd.
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